Lubrizol sells diesel emissions unit

Cleveland private equity firm CapitalWorks LLC has purchased a diesel emissions reduction business from Lubrizol Corp. (NYSE: LZ).
Terms of the deal for Wickliffe-based Lubrizols Engine Control Systems business were not released.
With federal and state regulations clamping down on diesel emissions, the business has environmental tailwinds, according to CapitalWorks CEO Robert McCreary.
There are an estimated 20 million diesel engines in North America alone that are going to have to deal with this issue, he said.
CapitalWorks made the investment out of its second fund, which closed in 2003 and holds $25 million, Mr. McCreary said.
The Engine Control Systems business has current annual sales of $24 million, according to a statement from Lubrizol. The business employs a total of 106 people at locations in Reno, Nev.; Canada; China and Sweden, Mr. McCreary said.
CapitalWorks officials plan to keep Engine Control Systems current management team in place, Mr. McCreary said.
The sale marked Lubrizols third in its attempt to divest of five non-core businesses with combined revenues of $500 million. The three businesses that have been sold  engine control systems, fluid measuring devices and resins  have combined revenues of $60 million, according to Lubrizol spokesman Dave Cowen.
Lubrizol officials expect to sell the two remaining businesses, food ingredients and foam control, by the end of the first quarter, Mr. Cowen said.